First National Bank of Helena v. Roberts

9 Mont. 323
CourtMontana Supreme Court
DecidedJanuary 15, 1890
StatusPublished
Cited by13 cases

This text of 9 Mont. 323 (First National Bank of Helena v. Roberts) is published on Counsel Stack Legal Research, covering Montana Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
First National Bank of Helena v. Roberts, 9 Mont. 323 (Mo. 1890).

Opinion

Harwood, J.

Appeal from the District Court in and for Lewis and Clarke County, First District of Montana. This is an action in the nature of ejectment, brought by the First National Bank of Helena, respondent, to obtain a decree for the recovery of possession of lots 1, 2, and 3, and the southerly 19J feet front of lot No. 4, and lots Nos. 9 and 17, all in block 48, in the town site of Helena, Lewis and Clarke County, Territory of Montana, alleged to be unlawfully withheld from respondent by the appellants. The complaint avers “that on the twenty-seventh day of September, 1886, the plaintiff was the owner, seised in fee, and entitled to the possession” of the premises mentioned ; that, while the plaintiff was so seised, the defendants, on the-day of March, 1889, without right or title, entered into possession of the demanded premises, ousted and ejected plaintiff therefrom, and unlawfully withholds the possession thereof from plaintiff, to its damage in the sum of $500; that plaintiff demanded the possession of said premises, which defendants refused to surrender. The defendants appeared, and interposed a motion to require plaintiff to make its complaint more specific, and also demurred thereto; both of which pleadings were by the court properly overruled, and to which ruling defendants excepted. (McCauley v. Gilmer, 2 Mont. 202; Billings v. Sanderson, 8 Mont. 205; Payne v. Treadwell, 16 Cal. 220.)

The defendants then filed their answer, which, in effect, denied all the material allegations of the complaint, and in addition thereto alleged a series of transactions by way of further defense to the plaintiff’s complaint. It is necessary, in the consideration of the questions brought here on appeal, to keep prominently in [329]*329view such new matter of defense, and the same is here condensed into the following statement: The defendants, further answering, say: That the said property is, and has been since 1867, the home and homestead of defendants and family. That on the tenth day of May, 1886, the defendant, W. K. Eoberts, and one S. T. Hauser, and Han E. Floweree were being sued by the commissioners of the county of Lewis and Clarke on a bond executed by said W. K. Eoberts, as treasurer of said county, for an alleged defalcation of said defendant, as such treasurer, for the sum of $42,000. That said defendant, W. K. Eoberts, was also, at the same time, under indictment for embezzlement of the funds of said county to the amount of $38,000. That Massena Bullard and Ashburn K. Barbour were the attorneys of said Hauser, and defending the said suit upon said bond for said Hauser, and also representing the plaintiff in regard to its liability to the said bondsmen, whom the said bank, without, the knowledge of defendants, or either of them, had agreed to indemnify against all loss, if any, as such sureties on the bond of defendant, ~W K. Eoberts. That the consideration for such promise on the part of said bank to said sureties on said bond was to obtain the deposit of the funds of said county in said bank. That such deposits amounted to about the sum of $800,000 during the time defendant was such treasurer, which funds were deposited in said bank, and used in the general business thereof. That the defendant, V. K. Eoberts, not knowing of said agreement between the said bank and his sureties on his bond, and fearing that said sureties might be injured, and being pressed by said Hauser to give him security against loss as such surety, and being at the time in feeble health and of unsound mind, and said Mary Eoberts, fearing that her husband, W. K. Eoberts, would be imprisoned in the penitentiary, they were at length compelled to turn over all the property they possessed to the said Hauser to secure him against loss as such surety, which loss said Hauser led the defendant to believe would fall upon himself and his co-surety, Floweree. That said Hauser and said Bullard and Barbour, his agents and attorneys, conspired together to unlawfully injure defendants in respect to their estate, and prepared a deed for said property in fee-simple absolute, and inserted the name of said Bullard therein as grantee, and had [330]*330said Barbour attend to tbe execution thereof as notary public; the object being to obtain said land for the benefit of said bank without the knowledge or consent of defendants, and without any consideration therefor. That said Bullard and Barbour were employed, as a firm, to procure said deed, and for the protection of said bank. That said Bullard drew said deed, and said Barbour took the acknowledgment thereof, secretly concealing the fact from the knowledge of defendants that said deed of conveyance was made to said Bullard as grantee, and that the same was an absolute conveyance of said land, with warranty of title. That, in fact, the only object of defendants was to give security to said Hauser and Floweree, so far as said property might extend in value, for re-imbursement of any sum they might have to pay as sureties for defendant, W. K. Roberts, as aforesaid. The said sureties had a good defense to the action against them on the bond aforesaid. That the commissioners of said county became aware of that fact, and proposed a compromise to said sureties, Hauser and Floweree, for the sum of $19,000, in full settlement of defendant, W. K. Roberts’, alleged defalcation. And said Bullard and Barbour, as attorneys for Hauser, paid said sum without the knowledge or consent of defendants, or either of them, and said suit was dismissed. That the said compromise sum of $19,000 was paid, in fact, by said bank, and not by said Hauser and Floweree. That thereupon said Bullard, in fraud of defendants’ right, conveyed said property, on or about September 26, 1886, to said First National Bank by direction of said Hauser, president of said bank, and without the knowledge or consent of defendants. That at the time the said Barbour took the pretended acknowledgment of defendant, Mary J. Roberts, to said deed he did not explain the contents thereof to her, and she was never acquainted with the contents of the same, nor knew that said Bullard was grantee therein, until about the time this suit was instituted. That said deed was procured through fraud, duress, coercion, concealments, and fraudulent representations, and without adequate consideration, and under such circumstances that neither of them could withhold their consent. That said W. K. Roberts was not of sufficient mental capacity to execute said deed, and his mental disability was known to said Hauser and the plaintiff. That Hauser repre[331]*331sented to said defendant, ~W. K. Eoberts, in order to procure said deed, that he would not be disturbed in the possession of said property; which representation was relied on by said defendant, W. K. Eoberts. That the said bank had no legal capacity to take a deed to said land, by reason of the provisions of the laws of the United States’governing national banks.

The last allegation, denying the capacity of the plaintiff to take and hold said laud, was by the court stricken from the answer, on motion of plaintiff; to which action defendant excepted. The action of the court on this point must be sustained as proper in an action of this nature. (Union Nat. Bank v. Matthews, 98 U. S. 621; National Bank v. Whitney, 103 U. S. 99; Fortier v. New Orleans Nat. Bank, 112 U. S. 439.)

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Bluebook (online)
9 Mont. 323, Counsel Stack Legal Research, https://law.counselstack.com/opinion/first-national-bank-of-helena-v-roberts-mont-1890.